Standard driving cycles (DCs) and real driving emissions (RDE) legislation developed by the European Commission contains significant gaps with regard to quantifying local area vehicle emission levels and fuel consumption (FC). The aim of this paper was to review local DCs for estimating emission levels and FC under laboratory and real-world conditions. This review article has three sections. First, the detailed steps and methodologies applied during the development of these DCs are examined to highlight weaknesses. Next, a comparison is presented of various recent local DCs using the Worldwide Harmonized Light-Duty Test Cycle (WLTC) and FTP75 (Federal Test Procedure) in terms of the main characteristic parameters. Finally, the gap between RDE with laboratory-based and real-world emissions is discussed. The use of a large sample of real data to develop a typical DC for the local area could better reflect vehicle driving patterns on actual roads and offer a better estimation of emissions and consumed energy. The main issue found with most of the local DCs reviewed was a small data sample collected from a small number of vehicles during a short period of time, the lack of separate phases for driving conditions, and the shifting strategy adopted with the chassis dynamometer. On-road emissions measured by the portable emissions measurement system (PEMS) were higher than the laboratory-based measurements. Driving situation outside the boundary conditions of RDE shows higher emissions due to cold temperatures, road grade, similar shares of route, drivers’ dynamic driving conditions, and uncertainty within the PEMS and RDE analysis tools.